Mid-Morning Market Summary - March 31, 2026

Market Overview

U.S. stocks are experiencing a recovery after five consecutive weeks of losses and three days of declines. The S&P 500 is poised to close the first quarter of 2026 in negative territory, typical for a midterm election year. U.S. futures rose overnight following reports that President Trump is open to ending military operations against Iran, even if the Strait of Hormuz remains mostly closed. This news has spurred market optimism, despite ongoing tensions, including an Iranian drone attack on a Kuwaiti oil tanker.

Market Indices Performance

• DJ Industrials: +541.94 (1.20%) - Last: 45,760
• S&P 500: +103.11 (1.63%) - Last: 6,446
• Nasdaq: +442.80 (2.13%) - Last: 21,238
• Russell 2000: +46.46 (1.93%) - Last: 2,460

Sector Performance

Nine of the eleven S&P sectors are up, with technology seeing a notable bounce of 2%. However, Utilities and Consumer Staples are experiencing slight declines. Energy prices are rising, with retail unleaded gasoline prices surpassing $4 per gallon, the highest since August 2022, which is putting pressure on household budgets.

Economic Data

• Chicago PMI for March: 52.8 (below consensus of 55.0)
• March Consumer Confidence Index: 91.8 (above consensus of 88.0)
• JOLTS Job Openings: 6.882 million (below consensus of 6.918 million)
• S&P Case-Shiller 20-City Home Price Index: +1.18% YoY

Macro Indicators

• WTI Crude: $102.76 (-0.11)
• Brent: $107.06 (-0.34)
• Gold: $4,636.60 (+79.30)
• EUR/USD: 1.1527 (+0.0064)
• JPY/USD: 159.09 (-0.61)
• 10-Year Note Yield: 4.313% (-0.029)

Sector Movers

Industrials/Automation

Jefferies downgraded several stocks in this sector, including ROK and LECO, while upgrading APH and EMR due to strong order momentum.

Data Centers

VRT was downgraded, while NBIS announced plans for a new AI factory in Finland.

Retailers

NKE is set to report quarterly results, and BIRD announced a buyout agreement.

Payments

Loop initiated coverage on several payment companies, with a generally positive outlook for the sector in the second half of 2026.

Stock Gainers

• AEHR: +14% - Follow-on order for silicon photonics.
• AFBI: +13% - Acquisition by Fidelity BancShares.
• AGIO: +18% - Pursuing accelerated approval for sickle cell therapy.
• APLS: +130% - Acquisition by Biogen.
• CNTA: +45% - Acquisition by Eli Lilly.

Stock Laggards

• CEG: -6% - Guidance below consensus.
• JILL: -18% - Revenue down from last year.
• PEPG: -46% - Clinical trial data disappointment.
• PHR: -29% - Revenue guidance cut.
• SNOW: -2% - Departure of CRO.

Conclusion

The market is showing signs of recovery amidst geopolitical tensions and economic data that presents a mixed picture. Investors are closely watching upcoming economic reports and corporate earnings to gauge the market's direction moving forward.